INTERVIEW-Polish bourse eyes mergers, new foreign debuts

By Adrian Krajewski

WARSAW, Nov 9 (Reuters) - The Warsaw Stock Exchange is eyeing the Prague bourse and other exchanges in the region for a potential merger to consolidate its leading position in central Europe, its head, Ludwik Sobolewski, said on Thursday.

Sobolewski also said that he would continue efforts to attract more foreign companies after nine firms, including Hungary's MOL <MOLB.BU> and Czech utility CEZ <CEZPsp.PR>, listed their shares in Warsaw over the last three years.

The Polish market, opened in 1991, has grown to become the biggest bourse in post-communist Europe. It has 260 companies listed and total market capitalisation of around $200 billion.

"I'm thinking about a regional merger, though without any concrete (ideas) so far," Sobolewski told Reuters in an interview. "We are interested in the Prague bourse, but not only."

"A regional merger is possible, but it would have to be beneficial for us...We are not in a situation when we have to share anything with anybody to grow. But constructing such a merger scheme is very difficult," he said.

Sobolewski said he had held no talks about the merger with the Prague bourse, which is owned by banks and investment houses trading there.

Bourse consolidation in the region has moved forward, with the Vienna Stock Exchange buying the Budapest bourse and Nordic exchange operator OMX <OMX.ST> buying the Vilnius market.

Sobolewski said that if the plans to acquire a stock exchange did not materialise, the bourse should strive to attract both foreign companies and investors.

"The aim is to draw the biggest possible part of the region's portfolio...and present a representative, diversified offer for the whole region. To show it is not only the Warsaw exchange but the Central and Eastern European exchange," he said.

Poland, whose population is four times higher than former communist states such as Hungary and the Czech Republic, has a strong mutual and pension fund industry with assets of 180 billion zlotys ($57 billion) that encourages companies in the region to list in Warsaw.

Sobolewski said he had already seen interest from 20-30 foreign companies, including several firms from neighbouring Ukraine and some from the Czech Republic and Slovakia, in listing shares in Warsaw.

"It is my goal to have a significant rise in foreign companies listed in Warsaw -- at least several companies each year," he said.

"This year we have had three foreign companies listed. I do not know whether we will have any further debuts this year, but I would like five to six companies to enter the Warsaw Stock Exchange next year. If it is less, I will be disappointed."

((Writing by Ewa Krukowska; Editing by Richard Barley; Reuters Messaging: ewa.krukowska.reuters.com@reuters.net; tel. +48 22 6539710))

Keywords: MARKETS POLAND BOURSE